Since 1946 – Labour has borrowed approximately £28 billion a year and the Tories £33.6 billion

15th November 2019 / United Kingdom

By TruePublica: Two days ago the BBC reported, as did many others in the mainstream media, that the Conservatives had launched a fresh attack on what they say are Labour’s “reckless” spending plans.

“Labour has yet to publish its election manifesto but the Tories have claimed that there is a “black hole” in its economic policies” and that – “Chancellor Sajid Javid claimed that Labour would also “hike up taxes” to pay for its programme, estimating that this would amount to an extra £2,400 per year for every taxpayer.”

PoliticsHome reported that – “the Tories said a Jeremy Corbyn administration would leave a £374bn gap in the public finances.”

The Telegraph reported that – “‘Reckless’ Labour to send public debt soaring with £600bn borrowing spree.”

And yet, history tells us something completely different.

Richard Murphy is a Professor of Practice in International Political Economy at City, University of London, director of Cambridge Econometrics and founder of Tax Research UK. He had calculated the following numbers:

Overall since 1946 and through to the end of the 2019/19 financial year Labour has been, overall, in office for 28 years and the Tories for 45.

In that time according to the House of Commons Library net total government borrowing has been £1,618 billion: £155 billion of borrowing predated that period, most paying for WW2.

Of that sum 67.5%, or £1.092 billion was borrowed by the Tories. 32.5% or £526 billion was borrowed by Labour.

The Tories have been in office for longer, of course. Restated per year the Tories have borrowed £24.3 billion a year on average in historic prices.

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Labour has borrowed £18.8 billion a year on average.

Labour repaid debt in 7 years. The Tories in just 4.

In current prices, Labour has borrowed approximately £28 billion a year and the Tories £33.6 billion.

The Tories are always the party that borrows most.

I am not saying there is anything wrong with that. But when the Tories seek to make borrowing a sign of economic mismanagement they need to worry: they are the borrowing party.